'The new owner has made some questionable choices': Baker tries to explain simple math to business owner, owner rejects their logic

Author image for Remy Millisky
Remy Millisky • Writer and Editor
Aug 2, 2024 5:00 PM EDT

This baker is really trying to help out a new coffee shop owner, but she just won't listen. 

Who doesn't love a good baked good or two? If you're craving cake or cupcakes, it's all too easy to buy a box mix and whip something up at home. But when you're out, getting a sweet treat made by a professional baker can leave you dreaming about the dessert for a long time afterwards. Making a cake from scratch like the pros do takes a ton of time and effort. U/TioBaldicia knows all about that, since in their line of work, they make cakes and cupcakes to sell to a nearby coffee shop. 

This baker isn't really in a position to tell a business owner how to run her store. However, she does seem to be making some interesting choices for her coffee shop. Maybe math just isn't her strong suit, and she'll correct her mistake after a few months of slightly lower profits. Check out the full story down below, plus comments from people who had their doubts about the owner's abilities to run the place. 

Next up, this boss has been blowing up his employee's phone all weekend, and they're running out of ways to convince him they didn't see the calls. 

Add as a preferred
source on Google
Advertisement
  • 01
    Business owner doesn't know maths
    via u/TioBaldicia
  • 02
    I sell baked goods to a local coffee shop. I have been doing it for over a year. They recently got a new owner and they are trying to make some changes.
    via u/TioBaldicia
  • 03
    The new owner has made some questionable choices already, but it's really none of my business. I just show up a few times a week and drop off various items for them to sell. At the end of week I drop off an invoice and they pay me. All is well.
    via u/TioBaldicia
  • 04
    For a while I was bringing a cake each week. Each cake is pre-sliced so the staff has no work to do.
    via u/TioBaldicia
  • 05
    A couple of relevant details: One, the cakes always sell out. Two, the cakes have the highest margin for her. I sell her a cake that is 12 servings for for $40. She sells it for $5.25 a slice.
    via u/TioBaldicia
  • 06
    So she makes about 1.90 per serving. Most of the other items she is only making .85-1.00 per serving.
    via u/TioBaldicia
  • 07
    Recently, the new owner tells me to stop bringing cakes. She says they are too expensive.
    via u/TioBaldicia
  • 08
    So instead, I've been bringing cupcakes. They sell for $4.00 a piece and I bring 12 of them, I charge her 3.15 each. Now she only makes .85 cents a serving. No cakes though, so she is happy!
    via u/TioBaldicia
  • 09
    zephen_just_zephen. Maybe she finds your cake irresistible, and eats all the profits whenever you bring one? 4.0k Reply TioBaldicia OP I like this theory
    via u/zephen_just_zephen
  • 10
    00 brothertuck. Years ago I worked at a pizza shop with an owner who was just as good In math. We used to sell potato chips, he stopped because every week he paid "too much" to refill the rack.
    via u/brothertuck
  • 11
    CMDR_Zantigar Offer to sell the cakes for $3.75 a slice instead of $40/cake. Be sure to point out that she's making an extra $1.25 on the $0.60 price delta. Don't mention that you're making an extra $5/cake with that pricing. Everybody wins. :)
    via u/CMDR_Zantigar
  • 12
    litsalmon. Most times you just can't fix stupid.
    via u/litsalmon
  • 13
    enigmaticrose4 I have a feeling they may not be your customer for long with those math skills...
    via u/enigmaticrose4
  • 14
    sardonicAndroid2718. Not necessarily. You don't need to be the best businessman to run a successful business. So long as income is enough to cover expenses, you can continue to operate.
    via u/sardonicAndroid2718
  • 15
    gCKOgQpAk4hz This sounds that the new owner is focusing on costs, without regard to profits. This is very common with inexperienced business owners, especially during the initial period. Coffee shops, like restaurants, run with certain margins on their products. An inexperienced owner will tend towards cost management, looking for lower cost items. Unfortunately, lower cost items also tend to be less desirable, so the margins are smaller and you have to make it back with volume.
    via u/gCKOgQpAk4hz
  • 16
    Either the new owner needs to learn to seek out more profitable items, or they must sell more. As mentioned, 12 cupcakes are just under $40. Perhaps OP could point out that the cake slices cost $3.33 each slice and are sold for $5.25, while the cupcakes cost $3.15 and sold for $4.00 each. The owner has not made the transition to costing the cake on a per slice basis. Or, could simply say that you don't make enough money on the cupcakes and need to increase the price by $0.15 each.
    via u/gCKOgQpAk4hz
  • 17
    ShelteringInStPaul I watch these restaurant redo shows on TV and it's amazing how many restaurant owners have no clue as to food costs or profits.
    via u/ShelteringInStPaul
  • 18
    9lobaldude I see a new owner in the horizon
    via u/9lobaldude

Want More? Follow Us and Add Us as a Preferred Source on Google.

Tags

boss bakery owner malicious compliance baking malicious-compliance-reddit cakes cupcakes malicious compliance reddit
Scroll Down For The Next Article